By Gay Cororaton, MIAMI REALTORS Chief Economist
Key Takeaways
- Out-of-state job movers typically earn more in the destination job in the Miami Metro Area than in-state job switchers, led by job movers from Washington ($190,656), and California ($186,004) in 2024 Q2 (latest data).
- Health care, professional/technical, and finance jobs are increasingly accounting for a larger share of job inflows in 2024 Q1-Q3 (26.3%) compared to 2019 (22.5%)
- However, there is a net outflow of lower-skilled and lower-paying jobs in the hospitality, retail, administrative, and transportation industries which can have long-term impact on retail and industrial real estate services.
Download the Job Inflows to the Miami Metro Area Report in 2024 Q3 HERE.
Washington and California Job Movers to the Miami Metro Area Have the Highest Average Income Among Job Switchers
Workers who switched jobs from other states into jobs in the Miami Metro area had higher average annual earnings compared to in-state job switchers, according to Miami Association of Realtors analysis of US Census Bureau’s job-to-job flow data. This data tracks the job switching of workers covered by unemployment insurance and excludes federal workers.
Based on MIAMI’s analysis, below are the top 5 highest annual salaries in the destination job in the Miami Metro Area in 2024 Q4 among out-of-state job switchers:
- Washington $190,656
- California $186,004
- Illinois $167,696
- District of Columbia $157,400
- New York $149,424
In comparison, job switchers from other Florida metro areas in 2024 Q2 had an average annual salary of $60,848 in the new job.
Job switchers from these top five states are employed in high-skilled and high-paying jobs such as in professional/technical services, healthcare, finance and insurance, health care, and information services.
Rising Share of Job Inflows in Professional/Technical and Information Service Jobs
The type of jobs that the Miami Metro Area has been attracting has shifted to more highly skilled jobs.
During 2024 Q1-Q3, the state of New York was the largest source of job inflows to the Miami Metro Area, with 5,052 jobs. The top destination job was professional, scientific, and technical services, with a 17% share (11.5% in 2019). The share of finance and insurance jobs rose to 9.6% (7.9% in 2019).
California is the 4th largest source of out-of-state job inflows is California, with 2,452 job inflows. The top destination job was professional, scientific, and technical services, with a 15.7% share (14.0% in 2019). The share of information service jobsose to 5.7% from 4.4%
Among Illinois job switchers, the 18th largest source of out-of-state job inflows with 1,614 job switches, the top destination job was professional, scientific, and technical services, with a 16.6% share (14.9% in 2019). The share of finance and insurance jobs jumped to 10.8% (5.7% in 2019).
The state of Washington is not a comparatively big source of job inflows with 661 job inflows, but job movers had the highest average earnings in the destination job in the Miami Metro Area. The largest source of job inflow was transportation and warehousing where the share surged to 21% (7.9% in 2019). The share of information service job inflows also surged to 11.0% (3.0% in 2019).
Among job inflows from the District of Columbia, the share of professional, scientific, and technical service inflows jumped to 24.5% (15.6% in 2019).
An implication is that these highly skilled and higher paid workers will be more likely to drive home sales and become homeowners than in-state job switchers. According to MIAMI”s analysis, a 2-earner household earns an annual income of $118,000 based on the average weekly wage but needs $180,000 to afford a typical single-family home at the current mortgage rate conditions.
Healthcare , Professional /Technical, and Finance Jobs are the Largest Source of Private Sector Net Job Flows
On a net basis (job inflows less job outflows), health care (+2,517), professional/technical (+2,331), and finance and insurance (+1,739) were the largest source of job inflows in 2024 Q1-Q3 in the Miami Metro Area.
However, these inflows and those in other industries were offset by large net outflows in lower paying jobs led by accommodation and food services (-10,687), retail trade (-9,550), arts, entertainment and recreation (-2,203), and administrative support and waste management (-2,007), and transportation and warehousing (-1,827). The net job outflows in these industries—due to home affordability – has implication on the availability of labor in retail and industrial real estate services.
